The Board of Governors of the Federal Reserve System (Fed), the Federal Deposit Insurance Corp. (FDIC), and the Office of the Comptroller of the Currency (OCC) on Sept. 18, 2018, issued a proposal to modify their capital rules for high-volatility commercial real estate (HVCRE) exposures. The proposal would revise the definition of “HVCRE exposure” to conform to the statutory definition of “high-volatility commercial real estate acquisition, development, or construction,” as required by the Economic Growth, Regulatory Relief, and Consumer Protection Act (EGRRCPA).
The changes would apply to all banking organizations subject to the agencies’ capital rules.
Comments are due Nov. 27, 2018.
On Sept. 10, 2018, the OCC proposed a rule that would give federal savings associations greater business flexibility to adapt to new economic conditions and business environments without having to change their charters.
The proposed rule would implement Section 206 of the EGRRCPA, which requires the OCC to issue regulations to allow federal savings associations with total consolidated assets of $20 billion or less as of Dec. 31, 2017, to elect to operate with the same rights and privileges as national banks and be subject to the same duties, restrictions, penalties, liabilities, conditions, and limitations.
Comments are due Nov. 19, 2018.